Cybertrek 1 The Universal Currency Calculator provides
a convenient way to determine how much of a foreign currency you would get in
exchange for a specific number of U.S. dollars. It can also determine how many
U.S. dollars you would get for any amount of a foreign currency. 1. Suppose that as the purchasing manager of a computer manufacturer, you just
received a proposal from a Japanese company that wants to sell keyboards to
your company. The company will commit to delivering 1,000 keyboards each month
for a price of 3,000 Yen each. What would be the monthly cost in U.S. dollars? 2. Would your company be better off or worse off given the keyboard contract
if the value of the Yen increased relative to the dollar? Explain. |